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EV start-up Rivian’s valuation soars to $110 billion, despite the absence of any meaningful revenue

by Sangam Paudel, Nov 30
1 minute read

EV start-up Rivian went public earlier this month, making the biggest US market debut since Facebook in 2012. The company’s IPO price has risen from $78 a share to $129.95 on Friday, 12 November. Its valuation puts its past the market cap of Ford and General Motors, although it is still a fraction of Tesla’s $1 trillion market cap. Yet, the company has no meaningful revenue and has made fewer than 200 vehicles so far.

So what?

While many investors have criticized Rivian’s valuation, the rising share prices signal growing investor confidence that the shift away from internal combustion engines will lead to huge returns. However, many EV companies are not yet profitable, and these popular stocks are likely to fluctuate – as seen with Tesla’s recent stock price fluctuations. Regardless, valuations of companies across the EV industry do hint at massive growth for some companies and a possibility of rapid EV adoption in the near future. Much might depend on the policies and regulations that governments employ to support growth in the EV sector.



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